The Euro currency has been flirting with a large bearish pattern during its volatile two-week uptrend and would confirm a new version of the pattern with only a modest decline from its present level. The currency markets were buffeted by acronyms last week (specifically FOMC, ECB, and NFP), with the result that an earlier version this Euro pattern was confirmed and negated at least once. The new ‘X’ point for the September futures contract is at 1.2287, less than 1% below the current price. The jagged chart since the July 24 low presents challenges to a Hidden Pivot analyst, but a continuation of the uptrend is not ruled out. A print at 1.2287, however, might foretell some spoiled Eurocrat vacations and an eventful autumn season. (Posted by Doug “harry” McLagan)
